So...

1.5 hrs/day * 5 days/week * 50 weeks/year * $80/hr = $30,000/year. Obviously those numbers are fudged in a bunch of places, but maybe it's not so crazy to spend $300k extra to avoid the commute?

In the bay area you're pretty much screwed no matter how far out you go. But it's not just about cost of living, it's also about finding a place you can afford where you wouldn't mind sending your kids to school some day. That cuts the options down quite a bit.